Israel to Export Gas to Two Jordanian Firms

Israel has approved a deal to export gas to two Jordanian private firms, according to local Israeli media reports.

According to Israel Hayom newspaper, the deal was given a go ahead by Prime Minister Benjamin Netanyahu, Energy and Water Minister Silvan Shalom, and Petroleum Commissioner Alexander Varshavsky.

As per the deal, Tamar partners will export 1.8 billion cubic meters (bcm) of gas to Jordan Bromine Company Ltd. and to the Arab Potash Company, located on the Jordanian side of the Dead Sea.

The deal is expected to remain in effect for 15 years and is assessed to be worth half a billion dollars, Israel Hayom reported.

Speaking on Thursday, Shalom called the Jordanian deal a "historic agreement [that is] meaningful for Israel's foreign relations and which is an opening for other deals with nations in the region."

Last month Tamar Partners signed a deal with Dolphinous Holdings, a private company run by a group of Egyptian investors, to supply at least $1.2 billion of natural gas from Israel's offshore Tamar field. The Tamar partners would supply 5 billion cubic meters (bcm) of gas during the first three years of the seven year contract. 

Partners in the Tamar Project and their percentage holdings are as follows:

Noble Energy Mediterranean Ltd. (36.00%), Isramco Negev 2 Limited Partnership (28.75%), Avner Oil Exploration - Limited Partnership (15.625%), Delek Drilling - Limited Partnership (15.625%), Dor Gas Exploration - Limited Partnership ( 4.00%)